Recommended Action
Check that WS-Management service is installed and running on server host01.lab.local. For more information use the command “winrm helpmsg hresult”. If host01.lab.local is a host/library/update server or a PXE server role then ensure that VMM agent is installed and running. Refer to http://support.microsoft.com/kb/2742275 for more details.

I’ve seen this issue before and typically it’s because I go on auto-pilot and sysprep the VM by hand. That will cause an issue, go ahead and start the VM and login, shutdown and let VMM do the sysprep.

Unfortunately this time that wasn’t the problem, though it was similar. When I shut the VM down I accidentally hit “Turn Off” and it hard powered the VM down. A simple boot, login, and retry fixed the problems here.